The news: Mastercard and Fiserv will offer Clover hardware rental fees for just $0.01 per month to the first 1,000 merchants who sign up for the network’s US Small Business Navigator platform, per a press release.

• Mastercard’s Navigator program includes a mobile-friendly hub of tools (free and trialed), product discounts, and partner solutions oriented toward improving SMBs’ efficiencies—particularly around getting SMBs set up online.
• Participating merchants do not need to be Mastercard customers to access the tools.

The hook: Mastercard is trying to expand its presence in the SMB space, which represents 44% of GDP, almost half of all employment, and 99.9% of all US businesses. 

By joining Mastercard’s network of affiliate companies, Clover can establish relationships with small businesses just as they’re getting off the ground—expanding its user base and potentially building long-term loyalty.

Deepening partnership with Fiserv: Mastercard and Fiserv have already linked up to support Fiserv’s stablecoin rollout—among other initiatives. 

Working with Mastercard can help Clover gain a larger share of the POS market—and regain momentum, in the face of fierce competition. 

Our take: Mastercard and Clover both want to secure small business market share. 

Mastercard and Clover are operating within a symbiosis: Clover helps Mastercard attract merchants to its Navigator program with a splashy promotion, and Mastercard makes sure Clover is one of the first merchant services providers it connects Navigator merchants with.